Your situation is not all that uncommon. Unfortunately, because of the retraction in credit, many business are struggling and finding it difficult to make ends meet.
In bankruptcy, unlike an individual, a business like an S corporation does not get a discharge of the debts. I know that my colleagues have varying opinions as to whether it is necessary to file bankruptcy for an S corporation, or whether it should be filed along with that of an individual case. The answer really depends on...
The short answer is "yes" but that depends on factors that are not mentioned in the question.
What do the terms of your credit agreement say? Does the bank have a security interest in the bank account? This might be the case if your credit card account is with the same lender that you have your checking and saving accounts with.
Are you being sued? And if so, has the bank obtained a judgment or order entitling it to "attach" or seize the bank account?
If you're having problems with...
Assuming you filed a Chapter 7, the mortgage company may be filing a motion for relief from stay because you have not paid any mortgage payments. In a Chapter 7, you must be current with your mortgage - and remain current to avoid the lender from obtaining relief from the automatic stay. If they obtain relief, they may then commence foreclosure proceedings against your property.
There are other reasons why relief may be granted, but generally, in chapter 7, a lender will seek relief if you...
If you are income-qualified, you should be eligble for representation from through the Volunteer Lawyers Project of the Boston Bar Association. If you are not income qualified, then you should speak with an experienced bankruptcy attorney who can explain your options. I've included a link to VLP to help you get started.
You say you closed your account 5 years ago and paid off everything. Have you got proof? If not, it's time to speak to a lawyer. If you do have proof gather your documents - or start getting them from the bank (i.e., old statements, copies of checks, etc.) as well as a copy of your credit report, and speak to a lawyer. By your question, it's easy to see that something is awry, but without more information or documents (and preferably, both), it's impossible to see what you can go about it....
Like the prior commenters mentioned, debt settlement companies are - by and large - a huge rip off. Talk to a lawyer pronto!
I've written extensively on my blog about debt settlement companies (look under the archives) and I've included a link below to a recent article that's based on the real experiences of my client.
The prior commenter is correct - but I'd be also surprised if the lender did not have a perfected security interest in the lawn mower. In other words, can the lender repossess the lawn mower if the loan is in default (which it apparently is). Even if it was reposseed, and you're being sued for a deficiency, you're still responsible for the debt because you signed for it.
Hiring a lawyer might not be the most cost effective way for you to go. It could send the message that you have the...
Are you entitled to attorneys fees and damages in a Title VII case - perhaps, depending on facts of your case. But the only way you can get an answer to that is to take your case out of mediation through to trial - and run the risk of ending up with nothing at all.
Remember, once you enter the courtroom and place your case in the hands of a jury (the fact-finder (assuming you can get that far)), you have no control over the result. Mediation is a voluntary process - where parties work...
There's not enough information here to go on. If it's your first mortgage, I agree with the first commenter that it's highly doubtful that 10% is going to let you keep your house outright.
It's my experience that banks and lenders and doing anything and saying anything to get consumers to pay something towards their debts. Rather than try and go it alone, consider speaking to a bankruptcy attorney who can look over your situation and help you chart a better course of action.
I would speak to a lawyer that knows FDCPA law and might have some familiarity with debt collectors who are not licensed. Unfortunatley, I cannot tell from the limited facts that you provided whether you might have claims to pursue. Even if you don't have claims, it's worthwhile to speak to an attorney if court proceedings have been initiated.